Any occurrence of "form" within a customer's name, or the title of an ad seem to be banned, including words like information, transformation, conform, conformists, deform, formal, informal, informant, etc.

How do we disable this ban? Or at least make it more specific so that it only bans entries with HTML code in it._________________Complete Hosting Guide

It's really banned by default for security reasons but it's nothing critical, you can remove it. It's defined in the file common.php in main directory, the function check_blacklist. You can delete the whole line (the last line in this function).